Answer:
Variable cost per unit= $1.5
Fixed costs= $2,000
Explanation:
Giving the following information:
Miles Driven Total Cost
January 10,000 $17,000
February 8,000 13,500
March 9,000 14,400
April 7,000 12,500
<u>To calculate the variable and fixed costs under the high-low method, we need to use the following formula:</u>
Variable cost per unit= (Highest activity cost - Lowest activity cost)/ (Highest activity units - Lowest activity units)
Variable cost per unit= (17,000 - 12,500) / (10,000 - 7,000)
Variable cost per unit= $1.5
Fixed costs= Highest activity cost - (Variable cost per unit * HAU)
Fixed costs= 17,000 - (1.5*10,000)
Fixed costs= $2,000
Fixed costs= LAC - (Variable cost per unit* LAU)
Fixed costs= 12,500 - (1.5*7,000)
Fixed costs= $2,000
Answer:
Explanation:
Required return = (dividend / price per share) + constant growth rate.
Dividend yield on the stock = (dividend / price per share) = 5.5%
Therefore, Required return = 5.5% + 4.2% = 9.7%
Given these assumptions, you should not buy this hybrid.
<u>Explanation:</u>
The idea of the present value factor depends on the time estimation of cash - that is, cash gotten now is worth more than cash got later on, since cash got now can be reinvested in an elective speculation to procure extra money.
The PV of the savings funds is $2,070 which is not exactly the cost of difference. You need a more noteworthy reserve funds to financially legitimize the acquisition of this hybrid car (for example the NPV is negative).
Answer:
The depreciation for 2014 is $6900
The depreciation for 2015 is $9300
Explanation:
Please see attachment .